Oxford Properties, who have a £4.7 billion global industrial property portfolio, will partner Logistics Capital Partners on the scheme. This is its first direct development under its own steam.
The site is located immediately adjacent to the east of London Heathrow Airport perimeter, one of the world's busiest international passenger and cargo airports, and a prime location for logistics real estate with excellent connectivity to Central London and the rest of the UK via the nearby M25 and M4 motorways.
They plan to redevelop the site to provide a market leading purpose-built prime logistics space.
Like many investors Oxford is boosting the share of its portfolio in logistics property. At the start of 2018, logistics represented only 4% of Oxford’s assets; today it is growing towards 30%.
Oxford intends to deploy £3 billion of capital in the European logistics sector over the next five years in platforms and portfolios of scale.
Jo McNamara, Head of Europe at Oxford Properties, said, “Logistics continues to be one of our highest conviction strategies globally; we continue to believe in the secular shifts underpinning the sector, including e-commerce penetration and evolving supply chains, that will continue to drive robust occupier demand against a limited supply of prime new space. This demand and supply imbalance for new, prime logistics space is particularly apparent around major cities where there is significant competition from alternative uses.”